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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?


To: Spekulatius who wrote (52759)11/11/2013 2:49:44 PM
From: E_K_S1 Recommendation

Recommended By
gizwick

  Respond to of 78915
 
KMI-WI - Last $4.20/share

Increased my warrants by 330% which adds to my KMI exposure. It seems like a good way to expose myself to KMI w/o layout the big bucks. If I exercise my warrants, the position would be one of my larger core position at 4% of the portfolio.

KMI announced a new pipeline project w/ MWE from Utica & Marcellus to the Gulf coast to transport NKLs to Mont Belvieu, Texas. The capacity will be 150K barrels/day and expanded up to 400K barrels/day. This is going to be pretty big w/ KMI converting much of their current pipe to larger pipe and building almost 200 miles of new pipelines. They say they should have it in service by Q2 2016 just in time for that revenue stream to kick in before the warrant expire in 2017.

Kinder Morgan, MarkWest Utica EMG Announce Binding Open Season for Pipeline to Support Northeast Rich-Gas Development and Transportation of Utica and Marcellus NGLs to Mont Belvieu, Texas

When they turn on the spigot generating all that new revenue, KMI stock should fly past that $40.00/share conversion price.

EKS